Volkswagen Group To Electrify Vehicles In All Segments
+VIDEO

Volkswagen eGolf

By Henny Hemmes
Senior European Editor
The Auto Channel

LOS ANGELES - January 7, 2014: The Volkswagen Group offered an in depth view on its
‘bumper-to-bumper’ strategy during a sustainability workshop.
This should help the company in reaching its goals for 2018, when it wants
to be the leading e- manufacturer, as well as to offer up to 40 electrified
models in all segments.

Henny Hemmes test driving the
Volkswagen XL1

With a total investment of 84.2 billion euro (approx $114 billion) until
the end of 2018, the Volkswagen Group is concentrating on developing fuel
efficient vehicles and environmentally friendly production. This all is the
starting point in Volkswagen’s aim to be the most sustainable car
manufacturer and to offer up to 40 models with alternative drive lines by
2018.

Under the ‘bumper-to-bumper’ strategy, the package of plans
was presented during the LA Auto Show in a workshop to a dozen
international automotive journalists. The session was led by Dr. Rudolf
Krebs, VW Group’s commissioner for electric drive systems, who said
that the company started at the right moment: “By optimizing the
plants, we will be able to build cars – from bumper to bumper –
with conventional, electrified and electric drivelines, including CNG
engines. This flexibility will allow us to react fast and be cost conscious
to the demand, while avoiding financial risks.”

VW is in the process of electrifying its model line, and with the
development of a range of new modular platforms, that can be shared by its
divisions for a wide range of models. New are the MLB-platform for midsize
cars, the MSB for sporty models and the MQB platform that is used for the
Golf 7. It has been developed for the use of conventional engines, thus the
TSI petrol and TDI diesel engines, for FlexCuel ethanol, TCI CNG and for
e-drive and plug-in hybrid.

Dr. Krebs: “We are focusing on e-Mobility and have already heavily
invested in setting up production of electric motors and batteries
in-house, respectively in Kassel and Braunschweig – both in Germany.
For electric drive we have hired 400 experts and for development,
production and service, we have trained 70 thousands employees. In 2014 our
brands will offer in total 14 environmental friendly models.”

The strategy will enable VW to meet the ever stricter regulations, such
as the new Euro 6 emission standard, that will come into force on September
1, 2014 for the approval of vehicles, and from January 1, 2015, for the
registration and sale of new cars.

Dr. Krebs also said that Volkswagen is planning to offer more CNG
models. “Engines are easy to adapt. But the demand is not very big,
as people do not realize that CNG cars are allowed to park in closed
structures, which is not the case for cars with an LPG tank.” He
continues: “Ideal would be a CNG plug-in hybrid, which would have a
25 percent lower CO2 emission with the same engine. Our MQB platform has
been developed for the use of all types of driveline. We do not know what
the future will bring, but with our flexibility we are well prepared and we
can anticipate on developments in sustainable mobility.”

He is also crystal clear about the development of fuel cells: “we
have test cars, but you should not expect such a model on the market before
2020. The technology is very expensive, not reliable enough and there is no
infrastructure. Using hydrogen only makes sense if you use green
electricity. The complete process of converting this into hydrogen,
compressing it and storing it in the car costs energy. Then hydrogen is
converted into electricity again and you end up with 30 to 40 per cent of
the energy that you started with.”

According to Krebs, a fuel cell car would also be ideal as a plug-in.
“The electric motor is for short drives, while for longer distance,
the fuel cell would function as a range extender. This can be a solution,
but first the technology should be further developed and the infrastructure
should be in order. For decisions it is much too early.”

In 2013, the Volkswagen Group unveiled two electric models, the e-Up and
e-Golf, and three PHEVs: the Porsche 918 Spyder, Porsche Panamera SE-Hybrid
and the VW XL1. As from 2014, the Group is planning to introduce hybrid
models of the Audi A8, Audi Q7 and the VW Passat, followed by the Audi A6,
A3 and VW Golf PHEV models and derivates for the other brands. There will
also be one vehicle inlet for all charging methods (CCS, or combined
charging system), including both AC charging and DC charging.

To improve the footprint of the complete production process including
providing energy for the cars, VW started the Think Blue project for
plants. It is an important tool in order to reach another goal: being the
leading e-manufacturer in the world by 2018. Peter Bosch, head of strategy,
processes and organizational structure, said that thanks to the project,
considerable progress has been made. “We are continuously improving
the production process and have implemented more than three thousand
measures, resulting in a reduction of the use of energy and water, a
reduction of CO2 emissions and waste.” The goal to reach a 25 percent
reduction based on the figures for 2010, but so far the improvements have
already resulted into a reduction of 10 percent.

Lars Menge, VW of America’s general manager of product strategy,
pointed out that the TDI Clean Diesel models are an important cornerstone
in the US market. VW offers seven Clean Diesel models. Menge: “In
2014 we will launch the latest high performing TDI Clean Diesel generation,
code named AE288, starting with the Golf. The Golf is important as it is
easy to drive with whatever driveline. Also the Beetle, Passat and Jetta
will become available with this motor.”

Mr. Menge announced that Volkswagen will also introduce plug-in hybrid
electric vehicles on the American markets in the near future.